Merged: Continental and United Tie The Knot | Aero-News Network
Aero-News Network
RSS icon RSS feed
podcast icon MP3 podcast
Subscribe Aero-News e-mail Newsletter Subscribe

Airborne Unlimited -- Recent Daily Episodes

Episode Date

Monday

Tuesday

Wednesday

Thursday

Friday

Airborne On ANN

Airborne 03.02.15

Airborne 02.24.15

Airborne 02.25.15

Airborne 02.26.15

Airborne 02.27.15

Airborne Hi-Def On YouTube

Airborne 03.02.15

Airborne 02.24.15

Airborne 02.25.15

Airborne 02.26.15

Airborne 02.27.15

Mon, May 03, 2010

Merged: Continental and United Tie The Knot

Matchup Yields Biggest Airline In The Biz... and Possible Woes For Consumers

While most of us were trying to enjoy the weekend, the powers-that-be at United and Continental were reportedly cooking up a deal that was completed Sunday afternoon to merge the two companies to create the world's 'Largest' airline. The estimated $3.7 Billion dollar stock purchase would allow UAL to buy the entire stock of Continental in an all-stock transaction that is expected to close before the end of the year and will retain United's brand name. The combined value of the two companies is estimated at well over $8 Billion.

As we understand it, the announcement is likely to be made later today (Monday) and would install Continental Boss, Jeffery A. Smisek, as the head of the new company, while United’s chairman, Glenn F. Tilton, would be nonexecutive chairman for two years. Mr. Smisek will take of the role of executive chairman, thereafter.

The new entity's HQ remains in Chicago in UAL's current digs and will result in a fleet of some 700 aircraft and over 88,000 staffers. United shareholders allegedly will hold a 55% majority of the stock in the new venture. Simultaneously; like Eastern, PanAm and Braniff airlines before them, a once powerful airline brand will cease to be part of the aviation lexicon.

Industry analysts see the move as a probable win for UAL/Continental and a possible loss for the flying consumer who has had to put up with increasing fees, higher ticket prices and a significant decline in customer service and decorum... the combined merger provides little incentive for these airlines to make any inroads in matters of interest/importance to the flying public and history suggests that the merger will not result in positive benefits for same. Analysis of the impact on UAL and Continental staffing  remains mixed.

ANN will analyze the details expected to be made public throughout the day and furnish further updates as they become available.

FMI: www.united.com, www.continental.com, www.dot.gov
 

Advertisement

More News

Airborne 03.02.15: HeliExpo, UAL Pilot Warning, WWII Flyover, RAF Aids In WV

Also: Blue Angels, Fuel Taxes, Twirly Birds, Bell 429WG, Delta Selects GoGo It’s common for airlines to issue numerous safety notice to flight crews, but United Airlines issu>[...]

EASA Certifies Continental MotorsÂ’ CD-155 Engine For DA42 TDI

Now Approved For European Installation, FAA Certification Pending EASA has certified Continental Motors Group CD-155 hp Jet-A diesel engine option for installation in the Diamond t>[...]

Counting Down! ANN's Infamous April 1st Edition's Just Around The Corner!

Get Your Wacky Ideas In NOW! ANN E-I-C Note: Folks... we gotta warn you... based on all the nonsense we've had to endure in 2014-2015 (which we are duty-bound to lampoon), this may>[...]

ANN's Daily Aero-Linx (03.03.15)

How Planes Work Need a great illustration of an airplane, clearly labeled, so you can explain -- again -- why planes stay up in the air? This is a good illustration; maybe they'll >[...]

ANN's Daily Aero-Term (03.03.15): Have Numbers

Used by pilots to inform ATC that they have received runway, wind, and altimeter information only.>[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

© 2007 - 2015 Web Development & Design by Pauli Systems, LC